Endeavor has set a deal to sell its Diamond Baseball Holdings company to private equity firm Silver Lake, which is the majority owner of Endeavor.
Under Endeavor, DBH owned and operated select local Minor League Clubs associated with Major League Baseball. DBH has acquired 10 clubs to date, including Iowa Cubs (Triple-A affiliate of the Chicago Cubs); Memphis Redbirds (Triple-A affiliate of the St. Louis Cardinals); Scranton/Wilkes Barre RailRiders (Triple-A affiliate of the New York Yankees); Hudson Valley Renegades (High-A affiliate of the New York Yankees); San Jose Giants (Single-A affiliate of the San Francisco Giants); Gwinnett Stripers (Triple-A affiliate of the Atlanta Braves); Mississippi Braves (Double-A affiliate of the Atlanta Braves); Rome Braves (High-A affiliate of the Atlanta Braves); Augusta GreenJackets (Single-A affiliate of the Atlanta Braves); and Oklahoma City Dodgers (Triple-A affiliate of the Los Angeles Dodgers).
On Tuesday, Endeavor announced the sale and said it was a matter of internal priorities for the company that has a wide range of media, sports, fashion, art and talent representation operations under its roof.
“Ultimately our relationship with MLB and the MLBPA took priority given the importance of our overall agency business and our continued investment in our baseball representation practice within WME Sports,” Endeavor president Mark Shapiro said. “Silver Lake will be an excellent partner to these Clubs going forward given their deep understanding of the business and their incredible track record of investment in sports IP.”
Under Silver Lake’s ownership, Pat Battle will continue to lead DBH as executive chairman while Peter Freund will remain lead as CEO.
“We look forward to working closely with Silver Lake and continuing the momentum in championing Minor League Baseball,” said Battle and Freund in a joint statement. “Coming off several months of invaluable support and guidance from Endeavor in establishing this organization, and now moving into Silver Lake’s proven portfolio, the entire DBH organization is enthusiastically focused on this next phase of aggressively growing the business.”
The transaction is expected to close in the fourth quarter of 2022.